SOUTH AMERICA

Final go ahead given Brazil port concessions

11 years ago

The concession plan originally put forward by Brazils Ports Secretariat (SEP) some 18 months ago has finally been approved by the Federal Audit Court (TCU). This covers new terminals to be built in the Port of Santos, as well as in the north-eastern state of Pará, involving combined investment of $1.56bn.

Flying the flag: the country is moving ahead with concessions at last

SEP’s proposal not to adopt a tender system based on the lowest port service tariffs has been accepted; instead, new concession contracts will be based on the best concession payment offered. However, in a move that may further delay implementation, TCU has asked both the SEP and Antaq, the national waterways regulator, to submit documentation in support of their reasoning in this area.

SEP is now said to be implementing a series of minor adjustments to tender documents, encompassing the prioritising of investment and the setting of dates for when the tenders can be issued.

In the initial tranche of concessions, a total of 29 areas will be leased, which theoretically will boost Brazil’s cargo-handling capacity by 47m tons.

The SEP has also indicated that it will go ahead with the preparation of tenders for three additional port concession tranches, which will require investment of around $3.65bn.